Herman Cain Rebuts Misleading Ad Against FairTax

[1969was1969]

Another TABLE from American's for Fair Taxation's research which gives away what the Fair Tax really is (a plan to make the middleclasses work more to have the same standard of living as now, while the wealthy get much wealthier under it), see TABLE 5 page 26 at tinyurl 593htl. Notice which income groups labor supply increases the most ($0-$149k) and which grps real wages increase the most (more than $150k, up 48%). Notice how the $50k group works10.3% more for a wage increase of 1.5%. Ouch.

[1969was1969]

So far Cain is batting 0 0 0 with the tax plans he supports-- both the "Fair" Tax and 999 would raise the taxes of the middleclasses and lower the taxes of the wealthy.

[Fedupwitliberaliars]

@1969was1969

and you just a damn liar

[DramaBlock]

THIS GUY IS A JOKE.

[Ddstairclimber]

Herman Cain is a hypocrite on social issues, he manipulates the purpose of the constitution so you are free to do only the things the Nanny government allows you.He also is in favor of the Fed and the printing of money that favors big banks We need someone who has been consistent all along , the media is again trying to prop up the corporate puppets ( cain romney, perry) if anyone disagrees with me simply youtube Ron Paul predictions and see for yourself then make a judgement.

[HardyMachia]

@Ddstairclimber If you want someone who is good on social issues and support the FairTax then google Gary Johnson. Johnson is only candidate promising to submit a balanced budget proposal to Congress in 2013.

[Ddstairclimber]

@HardyMachia he runs on baisacly the same principles as PAul. Yea we do need a simplified tax system.

however it would be best one with 6 or 7 brackets so the ultra rich pay more.

[abhishek28951]

Herman Cain supporters will only get a tax cut while if you support for Ron Paul you will get your freedom and liberty back. the government would stop running your life. Ron Paul will bring the end to the wars while Herman Cain would want to support Israel why don't we mind our own business. Vote For Ron Paul

[HardyMachia]

@abhishek28951 Why settle? Gary Johnson will give you both!

[mrbunnylamakins]

Fair Tax is Not the same as the 9-9-9- Plan Google "Forbes - Flat Tax Vs. Fair Tax Vs. Herman Cain's 9-9-9 Plan"

Plus it would take long before groups ask for tax break. Look how many groups got out of Obamacare.

Not to mention very misleading the talk of getting rid of the IRS, The Internal Revenue Service would be abolished and replaced by an Excise Tax Bureau and a Sales Tax Bureau in the Department of the Treasury.

[FootballRevshawn]

2:05

Herman Cain breaking out the "MmmMmmMmm"

[jackette55]

Support FairTax... Go to whitehouse .gov/petitions , find the FairTax petition and sign it!

[jackette55]

@pawel2003 I like your idea: new currencies created by the people. In the meantime, FairTax will be a good relief from the current tax system.

[lastavius]

I'm a centrist democrat and have heard alot of positive things about the fairtax but I do have a question. I heard an opponent of the fairtax say that cities, states and other government bodies are considered "persons" and would have to be taxed under this system. I was told that New York alone would have to pay 8 billion & California under the fairtax would have to pay 16 Billion. He raised the question as to how the states and cities would pay. Is this true and if so where do they get money?

[MerlinYoda]

@lastavius Heh, I can probably geuss who that opponent was as this is one of a handful of his half-truths that use number pulled from who knows where. State + local governments *already* bear the burden embedded costs due to taxation which adds to the final price of goods and services. The FairTax would *replace* those embedded taxes and all other income-based federal taxes. To exempt them from the FairTax would open a *huge* loophole and favoring govt. consumption over private consumption.

[specialmommy]

@MerlinYoda No because government entities are not tax exempt when buying retail items and supplies

[MerlinYoda]

@specialmommy What are you talking about? Nowhere in my comment did I say they were exempt under the FairTax ... and even if they were exempt from various consumption/sales/excise taxes currently, there's still the matter of the cost due to corporate taxation embedded in the price.

[FairTaxisaLie]

From Americans for Fir Taxation's (fairtaxorg) own data, here is what the outcome would be if this horrible tax ever was enacted (it never will be, thanfully) :"Households in the top income category, with more than $150,000 in annual income, would also gain as they do not have to pay their highest marginal tax rates. Mid-income category households would lose because the Fair Tax would impose a relatively higher tax rate on them."

* those making $15k to $150k

Source:tinyurl 593htl, pg30 on

[sonjahwkns]

your assumptions are completely wrong, because there would BE NO Top,Middle,Lower Income tax brackets. Why? because you are citing from the Present Tax Code...which would be Abolished. There would be no reason for such a system, because the New Tax, would apply across the board, to EVERYONE, Not just afew, as it does right now. So you sir, are incorrect and need to get your facts straight. The truth WILL come out, and you are just wrong. Never say Never...

[FairTaxisaLie]

@sonjahwkns It is not talking about tax brackets, it is talking about income levels, and it is from supporters' OWN DATA AND RESEARCH at fairtax org. DOn't take my word for it, go read it yourself: tinyurl 593htl, page 30 on. Under this FT/NASTI,t hose who make $15,000 to $150,000 would on average end up paying more in federal taxes than they do now. Again, this is from that "22million$ of research" fans off this foolish tax like to tout. G0 read it, and pay particular attention to Table 13.

[Fairtaxmax]

FairTaxisaLie: You need to learn more about this. Independant studies do not support your claims. In addition, there is no business to business tax under the FairTax. You have gotten some incorrect information.

[FairTaxisaLie]

@Fairtaxmax So "independent studies" are more valid to you than Americans for Fair Taxation's own studies? The things I post are straight from fairtaxorg, are in the "$22million of research" FT/NASTI fans like to tout, so if you deny the validity of AFT's data, the whole scheme crashes to the ground. Again, don't take my word for it, go read it and see-- tinyurl 593htl, page 30 on. Pay particular attention to table 13, years 7-8 to see a really egregious trick they pull to fudge results.

[sonjahwkns]

@Fairtaxmax You're the Liar..The Fair-tax would be the best thing this country has ever done, to improve our lives, as a productive society. Maybe you're against that sort of thing, I don't know, but you are the one that needs to get your facts straight...Double-check dude...The savings to our country would be monumental, and a true step in the right direction.

[sonjahwkns]

We are spreading the word...You can't keep the TRUTH hidden forever. Once serious people figure out for themselves, the truth, we will hear even more about it. Everyone hates the IRS except certain Government entities that directly benefit, from their often unscrupulous ways of exacting funds from "somewhere", or someone. There are so many lawsuits against this one agency, Fact...The Obamacare "law" is going to hire 16,000 more new IRS agents to ENFORCE the "law" Ponder that one.

[1969was1969]

@Fairtaxmax The supporting organization's own research declares very clearly that those making from $15,000 to $150,000 a year would on average pay more in federal taxes under this tax:

"Not every household would benefit equally, however. (edit) Mid-income category households* would lose because the FairTax would impose a relatively higher tax rate on them." tinyurl 593htl

Do not take my word for it, go to that link and read and understand page 30 on.

[HardyMachia]

@1969was1969 Then read the next 5 pages the explain how your quote is out of context of the whole picture since that table assumed household income would be fixed for 25 years which it rarely is. Page 35: "In sum, while not everyone would gain from the introduction of the FairTax, gainers would outnumber losers by a factor of more than ten to one, and none of the losses would be large." Our current tax system has very many more losers than the FairTax.

[1969was1969]

@HardyMachia The quote is not out of context, you have not looked closely at Table 13, years 7-8, to see HOW they claim middleclass people (who'd pay more in taxes under FT/NASTI) would be be "better off"-- by having them fall into POVERTY every few years (since people in poverty would be slightly better off than now, a couple of hundred dollars). Look at and understand Table 13, notice which years they have the "utility"(well-being) going up-- it is income mobility INTO POVERTY, not to wealth.

[1969was1969]

@HardyMachia Simply put, they fudge the data to claim someone is a "gainer" if his income falls under FT from say $40,000 a year to less than $10,001 a year.

They do this by comparing, in TABLE 13, the example person's income under FT not to the timeline under the FT, but to now--thus each year that example person is middleclass, they have him worse off,each year he is poor, they have him better off- notice how they consider him WORSE OFF each year his income rises from poor to middleclass.

[FairTaxisaLie]

Someone on his staff should explain to Mr. Cain that supporting this tax, which, among many negative effects

would raise the taxes of everyone who makes $15k-$150k a year while lowering the taxes of those who make $150k or more a year

and

is a backdoor attack to eliminate the Social Security sys.

and

would penalize the businesses using their profits by investing in the business (business machinery purchases no longer deductible and are 23-30% taxed)

... supporting it is a bad idea.

[NAGGERNUTZ]

I see the regular FairTax trolls are back. Liberals who think their entitlements will be endangered. 

[rockinandout]

The incredible thing about the fair tax is that everyone can pay as many or as few taxes as they please. God I love liberty and choice.

[Requinix17]

Epic defense of the fairtax! Herman Cain is 100% right on

[recklessprocess]

Please give us the Fair Tax. This would unleash the economy. It would be incredible. And we would finally get John Kerry's fair share of taxes.

[FairTaxisaLie]

@recklessprocess That is false, the wealthy would on average pay much less than they do now, according to fairtaxorg's own data and statements. Those making $15k-$150 k would on average pay more in federal taxes than now, those making more than $150k would pay less.

[Aesop16180339887]

"rich people are paying too much... poor people are paying too little." - but it sounds so much better when you don't actually express that; the fundamental principle of the fair tax.

[Diskatopia]

Mr. Cain has lost the race supporting the foolish "Fair" Tax. It would raise the federal taxes of everyone who makes from about $15,000 to $150,000 a year, while on average greatly lowering the taxes of those making MORE than about $150,000 a year. This is not really debateable, because it is from the supporters of the tax's own site, fairtaxorg. Basically Mr. Cain is saying "let's raise the taxes of the middle classes."

Among the pantheon of bad tax ideas, it's one of the worst.

[ItchMyFoot]

Herman seems like a sincere guy -- but is a total dumb ass on this Fairtax.

Yes, it sounds good.  But the devil is in the details and footnotes. Such as footnote 19, which has -- I kid you not -- a 300 billion dollar tax on pensions, wages, and military benefits -- -that has to be paid IN ADVANCE. That's right, IN ADVANCE.

That is just ONE goofy footnote.

Herman -- pull your head out your backside -- read the footnotes and fine print.

[LA04FairTax]

Everyone, please look at the "Fair Tax Open Letter" by 80 Economic Professors including a Nobel Peace Prize Winner in Economics who praise the FairTax to the President, Congress, and the American People. Learn the truth, not what this guy is shoveling. Read the FairTax Books by Congressman Linder. FairTax. True Tax Reform that will SAVE America !!!

[ItchMyFoot]

Fairtax is goofy. This 23% tax Herman is talking about, is NOT a personal retail sales tax only.

IT is ALSO a tax that city, county and states have to pay, on PENSIONS, wages, benefits.

It is ALSO a tax the fed governent has to pay on medicare, wars, PENSIONS ect.

In other words, their math is profoundly goofy and stupid and misleading.

[laudanum4u]

@ItchMyFoot "how do they do that without a 16th amendment" one might ask? the answer probably involves a lot of repetitive cussing and misquoting documents and something called "fine print" in a document that has none. So we are probably better off not knowing

[anoldcrow]

/watch?v=2aScniZ1-3k&feature=p­layer_embedded

[kynthful]

It's a great idea but it will be hard to push through. The AICPA will never allow it. They are very powerful in Washington. And believe me, I wouldn't mind it one bit - I work for a CPA and tax season sucks..big time.

[mordred612]

Check politifact and see what Herman Cain's statement ruling is. He has almost twice as many false statements as true. If Herman is being misleading about those statements that have been rated by politifact it kind of makes you think this statement might also be false, doesn't it? Another Republican corporatist.

[mordred612]

Fair tax my ass. 30 percent or more made to look like 23 percent using creative math. Hey Herman, I'll support the fair tax if you support the wealth disparity referendum which closes the gap in wages from the lowest paid employee to the highest. It is only a fair tax if we all make the same amount of money. Putting more money in more pockets is going to stimulate the economy, not giving it all to the wealthy.

[makaveliagain]

Ron Paul is my Hero but Hermain Cain could be my mistress

[GaGirlie777]

@makaveliagain LOL

I'm a former Paul supporter, and I now support Herman Cain in 2012.

[jeffy12]

@GaGirlie777 u fuckin idiot

[cespedeslv]

Mr. Herman Cain, I would vote for you if you implement the "Fair Tax". I don' t mind paying 23 or even 25% consumption tax. Between the IRS and the Federal Reserve Bank which is a private Bank .. I want both gone. Can you please make a 60 or 120 min. documentary explaining to the youth plus the people .. what is the "Fair Tax" and how and when would you bring this system online. See if Mr. Bill Oreilly agrees with this form taxation. May Jesus Christ bless you according to HIS WILL.

[PreciseBible]

How true indeed!!

[shawondemand]

@PreciseBible

Ron Paul is for 0% income tax lol. Because he actually supports a small government.

[clemsonfive]

How about running for President and send Obama packing?

[Ethercruiser]

... and YES, seems like Cain won the debate last night. I would love to see a Cain v Obama election. With the economy tanking & gas going over $4-5/gallon, Cain should whip Obama good!! :)

[Ethercruiser]

My whole life, I always felt the whole tax system & IRS was Unconstitutional. Yes, the 16th Amendment allows for a Federal Income Tax, but our Founding Fathers never wanted it and with the IRS a taxpayer is deemed guilty until proven innocent. Also, the tax code forces people to reveal too many details of their life & is an invasion of privacy. The Fair Tax is a simple system of taxation needing no tax accountants to figure out or invasion of privacy!

[TheA69rebel]

and eliminates the IRS!!!

[ulooklikeadope]

You hit a home run during the debate in South Carolina last Thursday!

[pluckerdude]

Herman Cain has my vote!

[jimt46]

@ThatOneAccont931. You mention that their are negative aspect but don't list them. I would be glad to address them. Please know that all of your questions were answered years ago by numerous studies prior to the bill hitting the House floor. The results can be found on the FairTax.org website or in numerous books on the subject. I hope I have answered at least some of your questions.

[jimt46]

@ThatOneAccount. To continue, all studies show that, after a delay, average prices should drop by at least the amount of the current corporate tax rate.  Likely more because 100s of billions are now wasted on tax compliance. That should come back as well. Distribution of funds have nothing to do with the Fair Tax. That is determined by Congress, as it is now. Consumption should remain unaffected as the tax will be offset by price drops. Net should show little change. (More)

[jimt46]

@ThatOneAccount931 You seem to be unaware of some of the studies done that specifically answer your questions.  I haven't the room to go into depth but I'll try to summarize. Gifts to charities should not be affected at all. The donations are deducted from an income tax that will no longer exist. You end up keeping more even after making the contribution. More in next paragraph.

[SoooooRich]

@BlackRepublican2010 True. Let's be honest though, Herman Cain is not Sarah Palin. They won't have any funny clips they can use. They'll have to debate facts - the left doesn't do to well in this department. Besides, we're all numb to name calling by now.

[BlackRepublican2010]

The leftist media will treat Herman Cain just like they treated Sarah Palin. Any woman or African American who is not a liberal is a threat who must be attacked. Whose very humanity must be attacked. I guarantee you that if he becomes a serious candidate then the leftist media will call him everything except a child of God.

[frogeyeful]

Say Herman! keep it up we are about to got hell in a hand basket. the bastards in Washington (both side ) are killing us. a revolution is going to happen here in this country if they keep spending money that WE DO NOT HAVE. we are burden by taxs and they are spending money like drunken sailors THE CHINEES WILL OWN US ONE DAY AND WE WILL BE WORKING FOR THEM LETS SEE HOW YOU WOULD LIKE IT THEN AMERICANS! ITS TIME TO STAND UP AND SAY NO MORE BULLSHIT FROM GOVERMENT SPENDING OUR MONEY

[attemptingtobehumble]

I agree with the fair tax system but didn't this guy say that we shouldn't audit the federal reserve. I don't think we can have a fair tax system until the federal reserve is abolished.

[FairtaxSupporter08]

Thanks Fairtaxmax for posting this, ill be supporting herman cain or anyone else who runs on a fairtax platform for president in 2012.

BTW..... like your name :)

[ThatOneAccount931]

@FairtaxSupporter08 Ok, I know that you and anyone who reads this will most likely give me heck for this but before you make your decision regarding ANY presidential nominee in this upcoming electoral system, I implore you to be fully informed of the facts. While I believe that the fair tax is an interesting proposal, I believe that too much is missing from the argument for me to support it at the present time. Affects on charitable donations and home equity has yet to be deduced.

[ThatOneAccount931]

@FairtaxSupporter08 I have also yet to see any real figures on how fair tax would a) lower the prices of consumer goods, or b) how the funds raised through the fair tax would be distributed throughout the government. In addition, some opponents claim that fair tax might hinder consumption as some people will be more inclined to be frugal than spend thrifty.

[ThatOneAccount931]

@FairtaxSupporter08 I will admit that the tax certainly has some advantages like simplicity and will be able to tax certain demographics which were unable to be taxed before but it also has negative aspects as well. So whether or not you chose to vote for any politician supporting the fair tax act, please do so because of you have examined both sides of the argument and favor the one side over the other.

[Bilbo2233]

We often neglect the reality that even the criminals and illegals in this country would have to pay the tax as well. Boosting revenue intake

[urgener]

After we get the FairTax, our standard of living will INCREASE for at least a couple reasons:

1. Current tax payers will pay LESS income tax because the revenue neutral burden will be spread to illegals and criminals as well.

2.Prices will likely drop because companies will no longer embed the expense of the tax consultants into their prices. Economic history shows profit margins remain steady (typically around 5 to 7 percent).

[DaveK1944]

I am stunned to see that this video has only been viewed 10,390 times. A link to it should be sent to everyone on your email distribution lists. I would love to see this man as a candidate for president of the United States.

[Mrbigdon]

As a citizen in the state of Georgia, I'm no stranger to Herman Cain. I supported his campaign here. However I have been a staunch advocate of the fair tax long before I'd ever heard the name Herman Cain. It is a complete governmental overhaul. It makes great sense, and it is long overdue.

[urgener]

Thanks for posting this. There's lots of candidates bad mouthing the FairTax. I hope we can teach the ignorant before election day. I've warned FairTax supporters that unless they explain it early and well, they'll fall victim to last minute bad mouthing ads.

[ickisandoblina]

Herman Cain can't win the presidency.  He's too honest and his solutions make a little too much sense... you think any MSM is going to let him say what he just said in a national forum?

[MrSamBadd]

This link is going out to my entire e-mail list... and I'm copying it to cards to carry for "hand-outs"!

This is probably the single best defense, and explanation of the FairTax I've seen so far.

Awsome!

Thank you!

[SkyhawkFlyer]

The current tax system is a tool for maintaining power over the people and as a tool to promote class envy. The politicians do not want to give up that power. Unfortunately, this also includes some "Republicans" who oppose change.

We had a larger chance to push the FairTax when Fred Thompson was running. He blew it. So now, we need someone else who pushes it and believes in it, who rallies a large crowd who will go out and educate others..

So, Herman... when are you going to run?

[mecabeza]

Frankly, the Fair Tax makes too much sense. It takes power away from those governing and gives it back to those governed. Then it eliminates loopholes and, as some say, our ability to protest by not paying our share (we should not evade taxes, illegal, but only avoid taxes, legal). You could avoid taxes by curtailing spending, legal, or evade taxes by buying on the black market, illegal. Government, through its taxing authorities, will not relinquish power. I say fair taxation cannot happen.

[genefury]

@mecabeza you also thought that no other country could attack the usa like it was attacked on 9/11 neither but it happened and it changed the game for all of us if you haven't learned by now from that i don't what to tell ya fair tax will work do your research.

[mecabeza]

@genefury I did not say that the fair tax wouldn't work, I said fair taxation won't happen because the gov't will not give up the power they wield through punitive taxation. You are dreaming if you think it's going to come to fruition (which btw I hope I'm completely wrong about). Where did I say anything about being attacked on 9/11?

[mecabeza]

The system imposed on the US citizen is sneaky and immoral, devised by people who for the most part have never signed the front of a paycheck. I own a very small business. Just my tax preparation bill alone tops 2k and that does not include the actual taxes. Most people never see the $ coming out of their check so they don't miss it. That's the sneaky part. The immoral part...well, just take a look at Washington. People better wake up!

[chobiewan]

On the other hand, I can presently choose to protest the current incomes tax by refusing to pay (and to eventually face the consequences, of course). There is no such option under the FairTax system (unless one resorts to black market purchases. Moreover, the apparatus necessary to sustain operation of the "prebate" system under FairTax strikes me as tantamount to universal welfare for a fairly large segment of the population.

[mecabeza]

@chobiewan Your protesting the current system would go nowhere fast and neither does it sound like you intend to do any! What good is the "option" if it's illegal? Can you cite an example that has caused any reduction in the constant growth of this punitive system? It seems to me that the only thing you are protesting is changing the tax system as it is. I'll give you this: our government will never give up the control it has over you and me in the tax code as it is. This is their power.

[chobiewan]

@mecabeza, do any what? An example of what? There is no argument here in favor of the present income tax system, whether legal or not. But the subject of Cain's video is a proposed alternative which, to me, looks alarmingly at least as invasive as but which offers even less recourse than the status quo.

[mecabeza]

@chobiewan "do any what?" PROTESTING.

"An example of what?" PROTESTING, as you suggested. The "option" you talk about is P R O T E S T I N G.

"There is no argument here in favor of the present income tax system, whether legal or not." JEEZE! Nobody said anything about the legality of the tax system. Why do I even bother!

[chobiewan]

@mecabeza, I have been familiar with tax preparation costs for businesses in the past, so I sympathize entirely.

Nevertheless, if you were not referring to the legality of the tax sytem in your previous remark: "What good is the "option" if it's illegal?"

then to what were you referring?

[mecabeza]

@chobiewan I was responding to your opening sentence in which you said this: "On the other hand, I can presently choose to protest the current incomes tax by refusing to pay (and to eventually face the consequences, of course)." You called that an "option" and complained that the Fair Tax would not allow for that "option." To which I said what good is the "option" if it's illegal. So, I'm referring to the legality of protesting the current tax system.

You still have not answered my questions.

[mecabeza]

@chobiewan In short, if it's illegal to protest the current tax system, what good is protesting it? (Unless you are willing to become a martyr, that is--but maybe it will come to that.)

[chobiewan]

@mecabeza, are you suggesting that protesting only accomplishes something good when it is against something legal? One may then have to ask, "What good was accomplished by dumping all that tea in Boston Harbor?" Of course, perhaps a Tory would have considered the Tea Tax legal, but I suspect there were colonists (and other British subjects of the time) who believed otherwise.

[chobiewan]

As far as the legality of protesting the tax system is concerned, you are right: the option of protesting it by refusing to comply with its rules comes with a steep, personal price, particularly is undertaken by a single individual or small segment of the population. On the other hand, the system stands on the legal fiction of of "voluntary compliance," and thus seems to me ripe for an act of massive civil disobedience, were enough people politically engaged and of sufficient courage to this.

[mecabeza]

@chobiewan As I said, one must be willing to martyr one's self. But the result of such action is usually lost on The Front and chalked up to an interesting story at best. There is no stopping Wshntn DC punitive taxing. Their control over the entire country emanates from it. While I like the Fair Tax plan (unlike you) I harbor no illusion that it can come to be.

[chobiewan]

@mecabeza, do you mean that you are looking at it realistically and believe that the FairTax plan can become law? Or are you saying that you like it even though, "realistically," its chances of passage are slim? Our own district congressman here recently signed on to support the FairTax measure (shortly before he resigned as his extramarital affair was about to be exposed), and that concerned me since, again, while I don't care for the present income tax I also find FairTAx troubling.

[genefury]

@chobiewan why would you find it troubling the plan is so simple a kid could understand it it just makes sense across the board there is a big problem with the current tax system the only way we are going to get out of this slump we are in is with a radical idea and this is it and it's a damn good one this is the best idea i have ever herd out of our gov it is a major gov overhaul and we need this it is long over due now the have to give the money back to the people thats just the bottom line.

[chobiewan]

@genefury Ostensibly,the Fairtax proposal, as far as I understand it, seeks to broaden the tax base by essentially closing off exceptions that the income tax allows and which are supported by IRS intrusiveness. It is indeed also commendably easier to understand. However, it also closes off any opportunity to protest through refusal to pay a federal tax without foregoing purchase. Moreover, its prebate feature habituates even more people to receiving a government check.

[chobiewan]

I applaud Cain's response for its civility. However, from what I can tell, the Fair Tax proposal in its present form essentially imposes a nearly universal and unavoidable tax which in application would at least initially confuse those who are already accustomed to interpreting the effect of local and state sales taxes upon their purchases. I understand the rationale behind adoption of the Fair Tax formula as well as the motivation to replace the invasive nature of the present income tax.

[faveaunts]

Dems in Congress are against this because they are the biggest tax cheats & wouldn't have an advantage any longer.

[lanwehr2]

This is a reminder that voters simply must become responsible for themselves... to make better decisions for themselves. The Fair Tax is the nearest to getting our country back to what our Founding Fathers intended.  To be able to take home all of one's earned wages is a big step in the right direction. Cain is right on! We need to prod candidates to vote for the Fair Tax!

[silvercreek72]

Thanks for all you do, Herman! This is the kind of constructive, radical change that both parties should be supporting if serving the interests of the people was really more important than personal power. Keep the faith!

[KOKBILLS]

That was so beautiful I about got choked up...Well said Herman...

[fullstress]

I'd vote for his change any day!!!

[rhit87]

Herman Cain 2012!

[billp1955]

This needs to hit the National airwaves!!! I'm a progressive Democrat for the fairtax!! It obviously makes too much sense for our Congressmen and Senators to adopt.....

[ItchMyFoot]

@billp1955 It's obvious you are too stupid to read the footnotes and fine print of Farce Tax.

Sure, it sounds great, till you understand and read the goofy footnotess and fine print.

Like a 300 bilion dollar tax that city and state government have to pay -- IN ADVANCE. Like a massive tax directly on PENSIONS and WAGES -- not just "retail sales"

Learn the truth of this goofy farce.  Pull your head out of your gullible backside. Google Fairtax deception.

[laudanum4u]

@ItchMyFoot your making this up. sight your source. I know the source your misquoting. and so do you. go head. get called out yet again Mark.

[ItchMyFoot]

@laudanum4u wrong idiot, Fairtax is a massive tax on goverment pensions, wages, and benefits, and it's not only in their legislation, it's also in their fine print, inn their math, in their footnotes.

IN ADVANCE -- see william Gale "Fairtax adopts a prepayment approach to taxing government wages"

See Fairtax own footnote, which shows the same thing. Fairtax avoids hearings under oath because their plan is so fucking googy

[laudanum4u]

@ItchMyFoot A_Comparison_of_the_FairTax_Ba­se_and_Rate.pdf Look it up folks.

footnote 19 "The FairTax adopts a pre-payment approach to taxing government investment since much of the consumption generated by government investment would otherwise never be taxed." where does that say "wages" Mark? I gotta spam this to all your new posts now. you're like old dog pooping everywhere. It's kind of offensive.

[Pomiferous]

@billp1955 Fair taxation is a very hot topic indeed.

[rcrmike]

There is also less opportunities to cheat on taxes. Everyone pays. Poor people buy less, wealthy people buy more! It's more fair all the way around. Also, all the tax dollars are easy for us to follow how government is spending our money, it's less likely to be misused through many different tax systems that are in place now. Smaller government, and less designed-in waste. And that's the biggest problem that the political opponents fear, -smaller government!

[rcrmike]

It is very helpful if everyone read the book, "Fair Tax: The Truth", authored by the people who created the Fair Tax. It explains many benefits of this new 'replacement system' of taxation. Both businesses and individuals benefit financially. Costs of production is lowered, hence lower consumer prices and also attracting manufacturing to this country instead of away from it. Think about it , NO IRS, no paperwork, forms, reciepts, tax accountants.

[slgguys]

Isn't Blanche Lincoln behind in the polls?

[JackieLiz1228]

Besides getting to keep your entire salary, all those with unreported income would

pay tax anyway. Drug dealers. Hookers. This is a REAL stimulus package - not the one where taxpayers' hard-earned money goes to pork grants like the $700,000 the University of Illinois professor got to develop a software program that creates jokes!! That would be a bad idea in a thriving economy. They just shouldn't have our money to spend on stupid things like that. With the Fair Tax, we keep control of our $.

[rfxj3]

The whole issue is summed up the fact that the Youtube ad posted by Blanche Lincoln running for US Senate out of Arkansas DISABLED ALL comments/ feedback on her "commercial" trying to prevent anyone from rebutting her with the TRUTH. I'm with you Herman! What are you hiding from Ms. Lincoln?

[xTRAPJAWx]

@rfxj3 I live in Arkansas and she runs an add all day everyday against Boozeman saying that Boozeman is a radical who wants to increase your taxes by 30%. It's almost comical.

[HomeRumDotNet]

Excellent video! Thank you for pointing out all of the positive aspects of the Fair Tax.

[bbbuffalo]

Way to go Mr. Cain! Thanks for your honesty!

[TheDutchman3]

RPHorne,

I believe that State governments are exempt from such excise taxes. It is also interesting that State government employees don't have to contribute to FICA, but can set up their own retirement funds. Even HR25 recognizes potential constitutional issues by giving States a choice as to whether or not to become the federal tax collector. Resolution of this issue is unclear at best.

[RPHorne99]

More importantly and in order to more fully appreciate the value of the Fair Tax, one must accept the notion that it is better to tax (i.e. inhibit) consumption than to tax production (i.e. income). If you passionately believe this is best for our citizenry and think removing the talons (if not fangs) from lobbyists (who mostly lobby for their clients' tax breaks), then working through the objections below (baseless or not) becomes much easier!

[lanwehr2]

@RPHorne99  Good points, here!

[lanwehr2]

@RPHorne99 Good points, here! However, with the Fair Tax one does not pay tax on second-hand/used goods such as a used car, second-hand furniture and other used items. That's in the category of consumption, if I'm not mistaken. But, yes, I get your message just the same and agree with your message, here. :)

[RPHorne99]

States pay Uncle Sam taxes everytime it pays to fill its vehicles' gas tanks or even moreso when you consider the taxes imbedded in the production and distribution of goods and services it purchases.

[TheDutchman3]

jcperez,

Read it many times, and actually blogged the whole bill word by word on another site.

[jcperez2000]

vanlidna77,

Have you read the 132 pages of the FairTax Bill? All your concerns are addressed therein. To weight in on the issue you should be fully informed. In the end you may be right. But read it.. It will provide you with great substance! Regards,

[vanlinda777]

mdnorm,

There is no specific clause in the Constitution, just the long held Supreme Court doctrine of "intergovernmental tax immunity". I hope you understand that we are a Republic, with two sovereign powers, State and Federal. Sovereign powers don't tax each other, and the Courts have grappled with this issue for 200 years. The States created the federal government, and our founders would turn over in their graves at the very idea of federal taxation of State/Local purchases.

[mgeppert1]

@vanlinda777 - What would the founders say to an Income TAX? Even the courts said it was illegal and hence congress had to make it a Constitutional Amendment!

[vanlinda777]

mdnorm,

(4) Under current tax law, less than 1 million working families pay no income tax and can use refundable tax credits to totally offset their FICA payments. Because the Fairtax replaces FICA, and provides a prebate to offset the tax paid on spending up to the AFFT adjusted poverty level, 30 million working families would pay no net federal tax annually. It sounds nice to say that the poor would be untaxed, but shouldn't everyone pay something for the cost of the federal government?

[vanlinda777]

mdnorm,

(3) Anyone with after tax savings would be double taxed when those savings are spent under the Fairtax. Very unfair, and violates one of the stated goals of HR25 to avoid cascading or multiple taxation. Should the Fairtax become law, Roth IRA holders would get screwed, and pretax savings plans such as 401K's would get a big break. Creating winners and losers don't make a fair tax plan, imho.

[DianaTXify]

I love it that you're trying to stand up for the people, but before you can possibly implement any program along these lines, you must clean house in Washington. Too much evil corruption going on there now. I believe Obama's birth certificate issue needs to be addressed before anything else is accomplished.

[vanlinda777]

fedup,

The Fairtax isn't fair. Consider these points. (1) Federal taxation of State/Local government consumption is unconstitutional. (2) Retirees would be forced to resume paying for their benefits with their sales tax dollars. (3) All after tax savings would be double taxed. (4) The prebate would create a group of 30 million working families that would pay no net federal tax annually, yet would still qualify for full retirement benefits. How is all that fair?

[vanlinda777]

fedup,

You can't add a tax bracket (15%) to a tax rate (7.5%) and get anything useful. The effective tax rate in the 15% tax bracket averages 11%. And, if the "good" employer gives the employee both shares of FICA, then that business would only be able to reduce their prices by 4.5%, and their retail prices would rise by 24%. And, it doesn't matter if there are ten levels of production or one, the percentage cost savings remains the same because cost savings only apply to the value added.

[vanlinda777]

fedup,

stop spreading the long discredited "free lunch" myth. The 22% average embedded tax costs came from the 1997 AFFT study done by Harvard's Dr Dale Jorgenson. He assumed that employee income tax and FICA withholding would go to the employer for maximum cost reduction. In other words, we would all take a huge gross pay cut. That isn't going to happen. In 2007, the business only tax related costs were 9% of sales. Remove that 9% and add 30% (not 23%) Fairtax = 18% price increase.

[MrCSP24]

@vanlinda777 The "30%, not 23%" myth is debunked at Fairtax.org.

[vanlinda777]

It's never a good idea to rebut a lie with more lies, Herman. And you told a whopper. If we get all our pay/pension as you said, then business costs can only be lowered by 9-10%, and retail prices will rise by 18%, hardly "slightly higher"! And that prebate you are so proud of will actually create a group of an estimated 30 million working families that will pay no net federal tax annually. Talk about disingenuous?

Fairtax.org only tells half of the story. You need to do more homework!

[beckisright]

@vanlinda777 Herman in right. You need to educate yourself.

[Fedupwitliberaliars]

@vanlinda777 Vanlinda.. Take your own advice. You are wrong. Independent economic research teams have concurred on average, 22% of the current retail costs we now pay are the taxes paid by multiply business in the supply chain passed on to consumers. Corp. pay no taxes...they pass them on...UNDER THE FAIR TAX THAT 22 CENTS - GONE. A DOLLAR RETAIL ITEM - NOW 78 CENTS. 23% X .78 = 18 CENTS. 78 + 18 = 96 CENTS. Herman is right, you are wrong.

[Fedupwitliberaliars]

@vanlinda777

Vanlinda...yes the prebate would completely untax the working poor. That's a good thing? LIbeals should champion that. And a worker in 15% tax brckt would have increase in take home pay. 15% + 7.5 = 22.5% A good employer would also give that worker the 7.5% that he is currently giving the IRS for his half of the SS contribution-that's a 30% increase in cash money. That 30,000 yr job is now a 39,000 year job. Imagine a 10 K raise!

[Fedupwitliberaliars]

@vanlinda777

Vanlinda...imagine a $10,000.00 per yr. raise for a worker making 30,000.00!! (and that's possible in just 15% tax bracket) Multiply that my millions and millions of income earners. Imagine that influx of cash into our sagging economy!! That is what would stimulate the economy.-free citizens spending their own money freely as I see fit. Not the government confiscating my paycheck by force of law, and then buying votes with it by giving it to pet projects as political pay back.

[Fedupwitliberaliars]

@vanlinda777 \

Vanlinda...if you are a true good hearted American., and I am betting you are. You need to do your home work. and come to the truth, embrace it, and join with us to help you make a better, freer life for yourself and your family. Below are some points to consider.

[dayroemer]

Give'm Hell Herman.The left manipulates the truth about the true Fair-Tax.They refuse to debate the Fair-Tax in public on camera.Keep telling the truth about the Fair-Tax president-elect Cain.